As a business owner, you probably have the mindset of a money saver. You probably place significance on the ability to get the most value out of every dollar you spend. Possessing internet merchant accounts to give your customers the option to use their credit cards online for their transactions is necessary now for business success.
Although the truth of the age-old proverb, “you must spend money to make money,” can’t be avoided, in this recovering economy, spending your money as wisely as you can to return profits are of primal importance. While you are making smart decisions about cutting costs by running your business from home, make smart decisions about how you invest in your business in conjunction. When you are processing credit cards online as a business, you are increasing your chances of success by keeping updated on the convenient payment options that consumers demand to have.
Consumers love to use their credit cards. As of 2012, Huffington Post reports that 66% of nation-wide sales were made via a plastic credit card. Only 27% of consumers use cash and that number is projected to drop to 23% by 2017. The technology in the last couple years with mobile Android and iPhones are given tools that make business success even more accessible. Wireless credit card processing is the newest technology on the market today. All you need is a smart phone and a mobile application and your customer can have their payment processed right on your phone.

The future of payments may look a little bit different in the next few decades, and that’s because cash is slowly going the way of the Dodo bird. Cash has been a useful method to pay for transactions partially because it was the only verifiable method to do so. Cash had value, but checks and credit cards have slowly begun working their way into the fabric of modern society.

In the next decades, cash will be an even smaller portion of financial transactions than already take place on the streets as more companies turn to a reliable online credit card processing for e-commerce.

One might ask, “What would replace cash?”

The solution is something we’ve already been using, just in a different format. The smartphone is now equipped with microchips that are designed to store bits of data that are associated to your bank accounts. This information is persistent, so it goes from one phone to the next, and is backed by several layers of security.

You first secure your phone, then the account itself, and finally the chip is encrypted to prevent unauthorized access. If the hacker ever wiped your device, the encrypted chip would prevent them from taking any of your financial data. According to Charge.com, this technology is very similar to what’s in newer credit and debit cards.

That same chip also facilitates the transaction itself. Everything is done wirelessly, and newer technologies may not even require WiFi connections to do so.

These “digital wallets” would be able to follow us from device to device, and all throughout our lives. Much like your bank account already. Transactions would all require a smartphone, or some other device in place of the phone, and money would be moved almost instantly.

Cash only businesses used to be the norm, but there are many reasons why businesses are beginning to transition out of these models. If your business is slow to adopt credit card processing services, there’s more reason than ever to consider making that switch. You do end up paying small fees on each transaction, but once you understand the system you pay less for a lot less liability. Here are three reasons why businesses are going through with the switch.

Technology is Affordable

The technology for mobile, EMV and online credit card processing is more affordable than ever before. Often times, small merchants can rent units for a reasonable monthly fee. If you prefer to buy your technology, and service it in house, there are multiple options with entry level models proving very affordable. Plus, accepting credit cards in store usually comes with the software needed to accept payments online as well.

Less Liability

Cash only businesses are a huge liability in today’s society, especially in major cities with high crime rates. Cash businesses tend to keep lots of cash on hand, especially if they are family run and don’t have people standing by to make bank deposits. That increases the odds that your store will be the victim of a robbery.

When you accept credit cards, money is moved digitally and securely from one bank to another. You don’t hold customer information you don’t need, and you get your money from the transaction quickly.

More Options

There are more options for credit card processing than in the past, meaning retailers can shop around and find affordable solutions tailored to suit their needs. Once you understand how fees are calculated, it’s simple to find a good deal.